On Terror's Trail

The bombs that demolished part of Bali's bustling Kuta district three years ago represented more than a vicious terrorist attack and a terrible human tragedy. For many of those familiar with the Indonesian island—with its beauty, serenity and spirituality—the bombs exploded the idea of a peaceful safe haven in an increasingly violent world. Consumed by fear and horror, tourists fled Bali in droves.

Yet after three suicide bombers detonated knapsacks filled with explosives at packed restaurants in Kuta and Jimbaran Bay on Oct. 1, there wasn't the same rush for the exits. Kuta's famous waves are still dotted...